Home Loan EMI Rules 2025

In the year 2025, the government changed the rules of home loan EMI, resulting in making loan payments more transparent, convenient, and affordable. Read on to know more.
Home Loan
2 min
12 May 2025
Are you planning to buy a home in 2025? The new home loan EMI rules can help make your dream home more affordable. These updated home loan EMI rules bring important changes to how you pay for your housing loan. With simpler calculations and better benefits, understanding these home loan EMI rules is essential for smart borrowing.

This article will explain the key home loan EMI rules for 2025, how they affect your monthly payments, and how you can benefit from them. We'll also look at how Bajaj Housing Finance Home Loans align with these new regulations for a smoother home buying journey.

Home loan EMI rules 2025: Major reforms for affordable housing finance

The home loan EMI rules introduced in 2025 aim to make housing more affordable for Indians. These home loan EMI rules focus on reducing the financial burden of owning a home. The Reserve Bank of India has outlined new policies that make EMI payments more flexible and transparent.

Under the new home loan EMI rules, lenders must provide clear information about interest calculations. Borrowers can now better understand how their payments are divided between principal and interest. The changes also allow for more payment options to suit different income patterns.

Want to know if you qualify for these improved terms? Check your eligibility with Bajaj Finserv now by simply entering your mobile number and OTP. You may already be eligible for better rates!

EMI calculation and new interest rates

The 2025 home loan EMI rules have introduced a simplified EMI calculation method. The new system uses a standardized formula across all lenders. This makes comparing different loan offers easier for home buyers.

Interest rates under the new home loan EMI rules now follow a more transparent benchmark system. This means your interest rate changes will be more predictable. For example, a Rs. 30 lakh loan at 7.99% for 20 years would have an EMI of about Rs. 25,075.

Loan amountInterest rateTenureMonthly EMI
Rs. 30 lakh7.99%20 yearsRs. 25,075
Rs. 50 lakh7.99%25 yearsRs. 38,558
Rs. 75 lakh7.99%30 yearsRs. 54,980


The new home loan EMI rules also allow for more flexible EMI payment options. You can now choose bi-weekly payments if that matches your income pattern better. This can help reduce your total interest outgo over the loan term.

Wondering how these new interest rates apply to your situation? Check your loan offers with Bajaj Finserv today. Enter your mobile number and OTP to see personalized rates and terms that suit your needs.

Tax benefits and financial impact on home loan EMIs

The 2025 home loan EMI rules come with enhanced tax benefits. The government has increased the tax deduction limit on home loan interest to Rs. 3 lakh per year. This is up from the previous limit of Rs. 2 lakh, making home loans even more affordable.

For principal repayment, you can claim up to Rs. 1.5 lakh under Section 80C. These tax savings can reduce your home loan EMI burden by up to Rs. 11,250 per month for those in the highest tax bracket. This makes home ownership more affordable under the new home loan EMI rules.

First-time home buyers get extra benefits under the new rules. They can claim an additional Rs. 50,000 deduction on interest payments. This special provision aims to help more young Indians step onto the property ladder.

How to apply for Bajaj Finserv home loan

Applying for a Bajaj Housing Finance Home Loan is simple and fast. Their process aligns perfectly with the new home loan EMI rules of 2025. Here's how to apply:

  • Click on the 'APPLY' button and enter your basic details.
  • Select your preferred loan type and verify your phone number.
  • Submit additional details, including your monthly income and whether you have identified the property.
  • Provide your date of birth, PAN number, and other details as required before submitting.
  • Await contact from a Bajaj Finserv representative who will guide you through the remaining steps.
Bajaj Finserv offers doorstep document pickup service. This saves you multiple trips to their branches. Their digital process makes loan application easier than ever.

Ready to start your home loan journey? Check your eligibility now by sharing your mobile number and OTP. You might be just a few steps away from owning your dream home!

Eligibility criteria to get home loan from Bajaj Finserv

To qualify for a Bajaj Housing Finance Home Loan under the new home loan EMI rules, you need to meet certain criteria:

  • Indian citizenship and residence in India
  • Age between 23-67 years for salaried applicants (23-70 years for self-employed)
  • CIBIL Score of 725 or higher
  • Stable income source (salaried or self-employed)
The documents required for home loan application include:

  • KYC documents (identity and address proof)
  • Income proof (salary slips or P&L statement)
  • Bank statements for the last 6 months
  • Property documents for the home you plan to purchase
Bajaj Finserv offers competitive home loan interest rates starting from 7.99%*  p.a. The interest rate depends on your profile, loan amount, and tenure. With the new home loan EMI rules, these rates are now more transparent and consistent.

Not sure if you qualify? Check your loan offers now with Bajaj Finserv. Just enter your mobile number followed by an OTP verification to see what you're eligible for.

Why choose Bajaj Finserv for your home loan needs in 2025

Bajaj Housing Finance Home Loans offer excellent benefits that align with the new home loan EMI rules. With loan amounts up to Rs. 15 crore* and tenure up to 32 years, they provide flexible options for all home buyers.

The standout features of Bajaj Housing Finance Home Loans include:

  • Interest rates starting from just 7.99%*  p.a..
  • EMIs as low as Rs. 722/lakh*.
  • Quick approval in 48 hours*.
  • No foreclosure fees for individual borrowers on floating rate loans.
  • Balance transfer facility with top-up loans up to Rs. 1 crore.
  • Access to over 5,000 approved projects for faster loan processing.
Bajaj Finserv also offers home loan top-up options. You can use this additional funding for home renovations, education, or other financial needs. This flexibility makes Bajaj Finserv an excellent choice under the new home loan EMI rules.

Their externally benchmarked interest rates help you benefit from favourable market conditions. This transparent approach aligns perfectly with the 2025 home loan EMI rules.

Ready to enjoy these benefits? Check your eligibility right now. Simply enter your mobile number and complete OTP verification to see what home loan options await you.

Frequently asked questions

What are the key changes in home loan EMI rules introduced in 2025?
The new rules include transparent interest calculations, flexible payment options, enhanced tax benefits, and standardised EMI formulas across lenders.

Looking to apply for housing finance? Check your eligibility with Bajaj Finserv now by entering your mobile number and OTP. You may already qualify for competitive rates.

How is EMI calculated under the new rules in 2025?
EMIs are calculated using a standardised formula across all lenders. The calculation uses loan amount, interest rate, and tenure to determine monthly payments.

What is the difference between floating and fixed interest rates under the new rules?
Floating rates adjust based on market benchmarks, while fixed rates remain constant throughout the loan term. The new rules make both options more transparent.

Can I change my EMI payment amount if I face financial difficulties?
Yes, the new rules allow for EMI restructuring during financial hardship. Lenders must provide options like tenure extension or temporary payment reduction.

Is prepayment or part-payment of home loans easier now?
Yes, the new rules eliminate prepayment penalties on floating rate home loans. This makes it easier to reduce your interest burden through additional payments.

What tax benefits are available on home loan EMIs in 2025?
You can claim up to Rs. 3 lakh on interest under Section 24(B) and Rs. 1.5 lakh on principal under Section 80C. Interested in making the most of these benefits? Check your loan offers with Bajaj Finserv today with just your mobile number and OTP.

Do the new rules apply to existing home loan borrowers?
Yes, many aspects of the new rules apply to existing loans. Contact your lender to understand how your specific loan is affected.

How do the new rules impact affordability for home buyers?
The rules make home loans more affordable through lower EMIs, better tax benefits, flexible payment options, and transparent interest calculations.

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